Fenwick corporate partner Ran Ben-Tzur talked to Crunchbase about how the explosion of special purpose acquisition companies (SPACs) has increased competition for private equity firms to find more traditional buyout targets.
Ben-Tzur talked about how ideal targets for SPACs and private equity may differ, which can ultimately present more opportunity and a quicker route to capital for those firms.
“Often, companies that don’t have a great IPO story are traditional buyout targets for private equity,” Ben-Tzur told Crunchbase.
Ben-Tzur further discussed the historical adaptability of private equity firms, specifically in terms of blurring the line between venture capital and private equity, noting, “We’ve definitely seen an evolution of who invests in technology in the last 10 years.”
The full article is available on Crunchbase.